Gems TV   

Sparkling gemstones

Analyst downgrade to neutral with such a huge cut in TP is as good as recommending sell.

 

i bought in at 1.65 yesterday and cut loss at 1.54 this morning...

 

should I sell, I bought at 1.74 and now is so now, any ideas?

 

oops, sinking further.. red..reder.. 1.49 -0.15

something worse than the analyst report must have happened. Now is way below 1.67TP

 

thanks for the solid news! no wonder..

 

Asian Daily: Singapore - Gems TV Holdings Ltd. Downgrade to NEUTRAL

- We downgrade our opinion to NEUTRAL (from Outperform) based
on a combination of share-price performance (+52% since IPO) and
a change in our assessment of the near-term competitive threats.


- The Jewellery Channel (TJC) is proving to be a more determined
competitor than we previously anticipated. Rather than fade away
like previous competitors, our work shows that TJC has become
more aggressive on its pricing in the U.K. and is set to launch a
competing channel in the U.S. shortly. Coupled with further product
supply constraints faced in the U.S. (production expansion delay),
we cut our net profit forecasts by 37% in FY07 and 24% in FY08.


- Despite changes to our forecasts, we still expect a two-year net
profit CAGR of 53%. While we continue to believe in the longerterm
growth of Gems, driven first by the U.S., short-term
challenges could result in near-term share price weakness.


- At 17x P/E, our new target price is S$1.67 (from S$2.31), suggesting
2% upside potential. We downgrade our rating to NEUTRAL from
Outperform

 

many lots exchange hands... why BB throws?

 

ACCUMULATE NOW

 

look like a good buy today!!!

better stay tune first before thing are settle

 

Yah, can anyone who follow this counter enlighten me what happen that cause this to drop below the support level of 1.7 to 1.65 and 4.1% drop. Any news??? Thanks

 

wow...anyone knows wat happened here ?

 

It jumped as much as 10.2% to a record high of $1.83 after DBSV raised its price target to $2.60 from $2 and kept a "buy" rating on the stock.



DBSV analyst Germaine Khong said the firm's Thai unit had recently obtained tax exemption, which would reduce its expenses by about $10.7 million.

 

hey jackjames, guess you are laugh all your way to bank now?

this baby is rocking now!!!!

 

JF keep buying this counter this month, yesterday just increased stakes from 6.05 % To 7.72 % , and today mypaper rated as outperform at target price of S$ 3.25 . that's amazing, isn't it? but one thing true is, during the correction, this counter goes up high still, interesting.. anyone holding this counter?

 

btw I think the volume is still consider low at the moment...
so ya no too sure it can sustaine at 1.7+ for how long...
will wait for better position to enter!  

 

hi zhuge,

look likw Gem TV is a good buy now....
what is your average holding price of this stock?

 

GemsTV - Takes stake in German business

Gems TV Holdings says that it is taking a 40% stake in Gems TV Deutschland, previously called K1010 Entertainment.

The deal is worth US$5.3 mln.

In October of 2006, Gems TV entered into an MOU with Gems TV Deutschland to supply gemstone jewelry to them.

Gems TV Deutschland reaches 3.3 million subscribers.

Analysts surveyed by Reuters have on average an 'outperform' call on the stock with a price target of S$2.31, compared to its last traded price of S$1.76, up S$0.11 or 6.6%.

 

Rose after a foreign broker upped their target to $2.10 after the company said it was looking to add 3m cable TV subscribers in US by  end Mar to reach 22m households. Also, its Thai subsidiary has been granted formal tax exemption by the Board of Investment of Thailand on 1 March 2007.

 

It jumped as investors took the lead from funds buying into the stock, said dealers. JF Asset Management Singapore has built a 5.24% stake in the company.



CIMB-GK analyst Kasem Prunratanamala said Gems TV had good long-term growth prospects, despite posting weaker quarterly profits on Friday, as deferred revenue from its U.S. sales had reduced its bottom-line growth.

 

DBS Vickers: Gems TV
Growth underpinned by US operations

Ø      Story:  Gems  TV  2QFYJun07  earnings  came  in  slightly  below our expectations, due to higher-than-expected operating expenses related to the international  expansion.  2Q07  earnings fell by 49% yoy to US$3.9m on the back  on a 41% jump in revenue to  S$44.8m. An interim dividend of US$0.015 per share was declared.
Ø      Point:  We  believe that 2Q07 is a transitional quarter for Gems TV. Although  2Q07  earnings were slightly disappointing, we remain positive on the  Group's  long-term  prospects,  particularly in the US where the Group made  a successful entry. Management guided ASPs in the US to be US$120-135 per  item,  beating  our estimates. In addition, the Group will continue to increase its US subscriber base, tapping on a potential base of 70m people.
Ø     Relevance: In view of the higher-than-expected operating expenses, we have  revised  our  FY07  earnings  down by 9% to US$36.7m. However we have increased our FY08 and FY09 earnings estimates by 5-7% based on higher ASPs and  an  increased  subscriber  base  in the US. Maintain BUY with a target price of S$2.00, based on DCF valuation.